01—Abstract
Summary
Summary of the 10-Q filed July 31, 2025. Cited figures are marked; the original filing is the authoritative source.
PG&E Corporation and Pacific Gas and Electric Company file this combined quarterly report for the three and six months ended June 30, 2025.
The Utility's operating revenues were $5.90 billiona for the quarter (versus $5.99 billion a year earlier) and $11.88 billion for the six months. Consolidated income available for common shareholders was $521 million for the quarter and $1.13 billion for the six months, compared with $520 million and $1.25 billion in the prior-year periods. Income tax provision and interest expense declined for the Utility, while interest income and operating and maintenance expense moved in mixed directions.
Management reports that the Utility's cash and cash equivalents stood at $236 millionb and total liquidity was about $7.5 billion as of June 30, 2025. Wildfire liabilities remain the central risk. The filing records aggregate liabilities of $1.325 billion for the 2019 Kincade fire, $2.075 billion for the 2021 Dixie fire, and $250 million for the 2022 Mosquito fire, each before insurance and, where applicable, other probable recoveries.
The Utility carries a $1.075 billionc Wildfire Fund receivable for the Dixie fire, of which $445 million had been received. The Utility also notes that the Wildfire Fund may be depleted faster than its 20-year life estimate, partly due to the Eaton fire liability disclosed by Southern California Edison. Regulatory activity is significant.
The Utility filed its 2027 General Rate Case in May 2025 seeking a $16.64 billiond revenue requirement for 2027, and a CPUC proposed decision issued July 25, 2025 would raise the energization cost cap by an aggregate $2.38 billion. The Utility also issued new long-term debt in 2025 and extended its revolving credit facilities, and it reports a $15 billion DOE loan guarantee facility under which it had not yet borrowed as of the report date.
02—Key points
Key Highlights
- Income available for common shareholders was $521 million for Q2 2025 versus $520 million in Q2 2024, and $1.13 billion for the six months versus $1.25 billion a year earlier.
- Total Utility operating revenues were $5.90 billion for the quarter, down from $5.99 billion, and $11.88 billion for the six months, roughly flat with $11.85 billion.
- Recorded wildfire liabilities as of June 30, 2025: $1.325 billion (2019 Kincade), $2.075 billion (2021 Dixie), and $250 million (2022 Mosquito), before insurance and other recoveries.
- Probable wildfire recoveries total $2.219 billion for the Dixie fire and $311 million for the Mosquito fire, including a $1.075 billion Wildfire Fund receivable for Dixie.
- The Utility's capital expenditure estimate for 2025 is $12.9 billion, and total available liquidity was about $7.5 billion as of June 30, 2025.
- The 2027 General Rate Case requests a $16.64 billion revenue requirement for 2027, with a decision requested by the fourth quarter of 2026.
- The Utility amended its $5.4 billion revolving credit facility to extend maturity to June 2030, and PG&E Corporation's facility to June 2028 at $650 million.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2025filed July 31, 2025Financial Statements
Q2 FY2025 against Q2 FY2024
| Line item | Q2 FY2025Q2 FY2024 | Change |
|---|---|---|
| Revenue | $5.90B$5.99B | −1.5% |
| Operating Income | $1.10B$1.13B | −3.4% |
| Net Income | $549.00M$524.00M | +4.8% |
| EPS (Basic) | $0.24$0.24 | 0.0% |
| EPS (Diluted) | $0.24$0.24 | 0.0% |
| Shares Outstanding (Basic) | 2.20B2.14B | +2.9% |
| Shares Outstanding (Diluted) | 2.20B2.14B | +2.8% |
05—Questions
Frequently Asked Questions
How much wildfire-related liability has PG&E recorded, and how much can it recover?
The filing records aggregate liabilities of $1.325 billion for the 2019 Kincade fire, $2.075 billion for the 2021 Dixie fire, and $250 million for the 2022 Mosquito fire, all before insurance. Probable recoveries are $2.219 billion for Dixie and $311 million for Mosquito, which include insurance, FERC TO rates, the WEMA, and for Dixie a $1.075 billion Wildfire Fund receivable of which $445 million had been received. Recoveries are not guaranteed, and liabilities could exceed available recoveries.
What drove the change in Utility earnings this period?
Utility income available for common stock was $608 million for Q2 2025 versus $561 million a year earlier, but $1.30 billion for the six months versus $1.34 billion. The filing attributes changes to items such as interim rate relief in the 2023 WMCE proceeding, extended operations at Diablo Canyon, and the absence of prior-year interim rate relief and deferred expense recognition from the 2022 WMCE proceeding.
What regulatory decisions are pending that could affect future revenue?
The 2027 General Rate Case, filed May 15, 2025, requests a $16.64 billion revenue requirement for 2027 and about $45.0 billion of investments from 2027 to 2030, with a decision requested by the fourth quarter of 2026. A CPUC proposed decision issued July 25, 2025 would raise the energization cost cap by $2.38 billion for 2025 and 2026. The 2023 WMCE application seeks $1.86 billion of revenue requirement, and a 2026 cost of capital application requests an 11.30% return on common equity.
Is the Wildfire Fund at risk of running out?
The filing states the Wildfire Fund is expected to be depleted more quickly than the 20-year estimate for its life, as a result of claims by other California utilities. It cites Edison International and Southern California Edison's disclosure of a probable but not reasonably estimable liability for the January 2025 Eaton fire. PG&E Corporation and the Utility expect to re-evaluate the fund's estimated life and may accelerate amortization of their Wildfire Fund asset when a related liability or receivable is recorded.
How is PG&E financing its capital program?
The filing says PG&E Corporation has completed the planned equity financing for its $63 billion capital expenditure plan for 2024 through 2028. In 2025 the Utility issued $1.0 billion of 5.700% bonds due 2035 and $750 million of 6.150% bonds due 2055, followed in June by $400 million of 5.000% bonds due 2028 and $850 million of 6.000% bonds due 2035. The Utility also has a $15 billion DOE loan guarantee facility, but as of the report date it had not borrowed under it and cannot predict timing of any funds.
06—Continue